|

US ISM Manufacturing PMI improves to 50.3 in March vs. 48.4 expected

  • US ISM Manufacturing PMI rose above 50 in March.
  • The US Dollar gathers strength against its rivals after upbeat PMI data.

Business activity in the US manufacturing sector expanded at a modest pace in March, with the ISM Manufacturing PMI rising to 50.3 from 47.8 in February. This reading came in better than the market expectation of 48.4.

Other details of the report showed that the Employment Index edged higher to 47.4 from 45.9, the New Orders Index climbed to 51.4 from 49.2 and the Prices Paid Index, the inflation component, rose to 55.8 from 52.5.

Assessing the survey's findings,"the U.S. manufacturing sector moved into expansion for the first time since September 2022. Demand was positive, output strengthened and inputs remained accommodative," said Timothy R. Fiore, CPSM, C.P.M., Chair of the Institute for Supply Management (ISM) Manufacturing Business Survey Committee, and added: "The Prices Index moved further upward in moderate expansion (or ‘increasing’) territory as commodity driven costs remain unstable."

Market reaction

The US Dollar gathered strength against its rivals with the immediate reaction. At the time of press, the US Dollar Index was up 0.35% on the day at 104.89.

Author

Eren Sengezer

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

More from Eren Sengezer
Share:

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

By subscribing you agree to our Terms and conditions.

Editor's Picks

EUR/USD tests nine-day EMA support near 1.1750

EUR/USD loses ground for the fourth consecutive session, trading around 1.1760 during the Asian hours on Monday. On the daily chart, technical analysis indicates a weakening bullish bias, as the pair tests to break below the lower boundary of the ascending channel pattern.

GBP/USD softens below 1.3500 but retains positive technical outlook

The GBP/USD pair loses momentum near 1.3485 during the early European session on Monday, pressured by renewed US Dollar demand. The potential downside for a major pair might be limited, as the Bank of England guided that monetary policy will remain on a gradual downward path.

Gold pulls back from record high as profit-taking sets in

Gold price retreats from a record high near $4,550 during the early European trading hours on Monday as traders book some profits ahead of holidays. A renewed US Dollar could also weigh on the precious metal, as it makes Gold more expensive for non-US buyers, pressuring prices.

Bitcoin, Ethereum, and XRP bulls regain strength

Bitcoin, Ethereum, and Ripple record roughly 3% gains on Monday, regaining strength mid-holiday season. Despite thin liquidity in the holiday season, BTC and major altcoins are regaining strength as US President Donald Trump pushes peace talks between Russia and Ukraine. The technical outlook for Bitcoin, Ethereum, and Ripple gradually shifts bullish as selling pressure wanes.

Economic outlook 2026-2027 in advanced countries: Solidity test

After a year marked by global economic resilience and ending on a note of optimism, 2026 looks promising and could be a year of solid economic performance. In our baseline scenario, we expect most of the supportive factors at work in 2025 to continue to play a role in 2026.

Avalanche struggles near $12 as Grayscale files updated form for ETF

Avalanche trades close to $12 by press time on Wednesday, extending the nearly 2% drop from the previous day. Grayscale filed an updated form to convert its Avalanche-focused Trust into an ETF with the US Securities and Exchange Commission.